Software analytics leader New Relic, Inc. (NYSE: NEWR) announced today that the company is now the fourth largest application performance monitoring (APM) vendor by revenue according to Gartner’s ”Market Share Analysis: Performance Monitoring, Worldwide, 2015” report by Federico De Silva. New Relic experienced one of the most significant advances in the rankings, moving up four spots from the prior year, powered by the highest growth rate among the top four vendors, at 68 percent. In the report, New Relic is identified as a key market performer, based on market share and share growth in their respective segments in 2015.
The company’s ranking from Gartner coincides with another report by the analyst firm, "Market Insight: Cloud Shift — The Transition of IT Spending from Traditional Systems to Cloud," which reports that, “Over the next five years (from 2016 through 2020), over $1 trillion in compounded IT spending will be directly or indirectly impacted by cloud shift, making cloud computing one of the most disruptive forces of IT spending since the early days of the digital age.” “Cloud Shift” is characterized by Gartner as the movement of IT spending from traditional (noncloud) markets to new, cloud-based alternatives. Gartner has determined the cloud shift rate will be 37 percent of IT spending moving from traditional noncloud application software vendors to SaaS providers, through 2020.
"New Relic's unique 100% commitment to the pure-SaaS model has delivered unprecedented success to our customers as they advance their cloud and digital business initiatives," said Lew Cirne, founder and CEO, New Relic. "New Relic is the only true cross-platform software analytics provider that allows companies to effectively leverage the benefits of the cloud, including speed, scale, and innovation."
Market Share Analysis: Performance Monitoring, Worldwide 2015, Doc # G00310451, July 2016
Market Insight: Cloud Shift — The Transition of IT Spending from Traditional Systems to Cloud, Doc # G00301664, July 2016
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This press release contains "forward-looking" statements, as that term is defined under the federal securities laws, including but not limited to, market trends and characteristics, New Relic’s future growth prospects and ability to succeed, effect on the market and potential benefits to customers. The achievement or success of the matters covered by such forward-looking statements are based on New Relic's current assumptions, expectations, and beliefs and are subject to substantial risks, uncertainties, assumptions, and changes in circumstances that may cause New Relic's actual results, performance, or achievements to differ materially from those expressed or implied in any forward-looking statement. Further information on factors that could affect New Relic's financial and other results and the forward-looking statements in this press release is included in the filings New Relic makes with the SEC from time to time, including in New Relic's most recent Form 10-Q, particularly under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations." Copies of these documents may be obtained by visiting New Relic's Investor Relations website at http://ir.newrelic.com or the SEC's website at www.sec.gov. New Relic assumes no obligation and does not intend to update these forward-looking statements, except as required by law.